Stuttgart/Bogota — GFT Technologies SE (GFT) acquires 100% of the shares in the Colombian core banking expert Sophos Solutions S.A.S.. With Sophos, GFT becomes one of the top 3 providers of IT services for banks in Latin America and also increases its global delivery capability. GFT acquires the company from Advent International, one of the largest and most experienced global private equity investors. The acquisition is a clear sign of GFT’s continued focus on growth and profitability.
GFT gains a new foothold in core banking solutions, AI and cloud modernization, as well as additional partners and clients, including Colombia’s major financial institutions. The company is expanding its presence to 20 countries, six of which are in Latin America: Brazil, Mexico and Costa Rica are now joined by Colombia, Chile and Panama. The combined strength of the two companies will result in GFT becoming one of the top three providers of IT services to banks across Latin America.
Thanks to the more than 1,700 employees of Sophos, GFT’s global workforce is growing by almost 20 percent to more than 12,000. This is the largest number of employees that GFT has ever gained through an acquisition. The transaction is expected to be completed at the beginning of February 2024. In 2022, Sophos generated revenue of around 257 billion Colombian pesos (currently around 60 million euros) and GFT global revenue of over 730 million euros.
“With this strategic acquisition, we are not only merging companies, but multiplying potential,” says GFT CEO Marika Lulay (photo © GFT). “It is a logical continuation of our profitable growth strategy. All aspects of Sophos are very valuable to us. From the new colleagues, new competencies and clients to the new partners for core banking solutions such as Oracle Flexcube. All of this leads to strong momentum for GFT in Colombia, the third largest Latin American market, as well as exponential growth opportunities in the Americas and beyond.”
Customers benefit from expertise in core banking, AI and cloud modernization
Sophos is particularly known for its expertise in the areas of core banking, AI and cloud modernization as well as innovation and digital transformation. GFT’s clients will benefit from expanded delivery capacity and access to new expertise, including core banking solutions with Sophos’s established partners. For Sophos customers, the acquisition means access to GFT’s large talent pool, extensive experience in successfully implementing cutting-edge technologies, more partners such as Thought Machine and pre-built solutions. All of this together leads to shorter time-to-market and effective delivery of services to all customers.
“We are proud to be working with the entire Sophos team at a time of strong growth for the company,” says Lucas Marulanda, Director at Advent International. “Since our investment in 2020, Sophos has strategically scaled its platform through international and regional expansion, helping to drive technology transformation and modernization in the financial industry. We look forward to following the company’s continued success.”
“It is a great opportunity for everyone at Sophos to become part of GFT,” adds Felipe Villa, CEO of Sophos. “With the combined expertise and global presence of Sophos and GFT, we complement each other perfectly. This will enable us to better support our customers in their digital transformation — great news for our employees and their professional development, as well as for our customers. We are grateful to Advent for taking our business to the next level.”
Canaccord Genuity acted as exclusive financial advisor to Advent and Sophos in connection with the transaction.